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House Amendment 1367

Amendment Text

PAG LIN
  1  1    Amend House File 706 as follows:
  1  2    #1.  Page 3, by inserting after line 29 the
  1  3 following:
  1  4    "Sec. ___.  Section 9H.2, Code 1997, is amended to
  1  5 read as follows:
  1  6    9H.2  PROHIBITED OPERATIONS – EXCEPTIONS.
  1  7    1.  In order to preserve free and private
  1  8 enterprise, prevent monopoly, and protect consumers,
  1  9 it is unlawful for any processor of beef or pork or
  1 10 limited partnership in which a processor holds
  1 11 partnership shares as a general partner or partnership
  1 12 shares as a limited partner, or limited liability
  1 13 company in which a processor is a member, to own,
  1 14 control or operate a feedlot in Iowa in which hogs or
  1 15 cattle are fed for slaughter.  In addition, a
  1 16 processor shall not directly or indirectly control the
  1 17 manufacturing, processing, or preparation for sale of
  1 18 pork products derived from swine if the processor
  1 19 contracted for the care and feeding of the swine in
  1 20 this state.  However, this section does not apply to a
  1 21 cooperative association organized under chapter 497,
  1 22 498, or 499, if the cooperative association contracts
  1 23 for the care and feeding of swine with a member of the
  1 24 cooperative association who is actively engaged in
  1 25 farming.  This section does not apply to an
  1 26 association organized as a cooperative in which
  1 27 another cooperative association organized under
  1 28 chapter 497, 498, or 499 is a member, if the
  1 29 association contracts with a member which is a
  1 30 cooperative association organized under chapter 497,
  1 31 498, or 499, which contracts for the care and feeding
  1 32 of swine with a member of the cooperative who is
  1 33 actively engaged in farming.  This section shall not
  1 34 preclude a processor, limited partnership, or limited
  1 35 liability company from contracting for the purchase of
  1 36 hogs or cattle, provided that where the contract sets
  1 37 a date for delivery which is more than twenty days
  1 38 after the making of the contract it shall do either of
  1 39 the following:
  1 40    1. a.  Specify a calendar day for delivery of the
  1 41 livestock; or.
  1 42    2. b.  Specify the month for the delivery, and
  1 43 shall allow the farmer to set the week for the
  1 44 delivery within such month and the processor, limited
  1 45 partnership, or limited liability company to set the
  1 46 date for delivery within such week.  This section
  1 47 shall not prevent processors or educational
  1 48 institutions from carrying on legitimate research,
  1 49 educational, or demonstration activities, nor shall it
  1 50 prevent processors from owning and operating
  2  1 facilities to provide normal care and feeding of
  2  2 animals for a period not to exceed ten days
  2  3 immediately prior to slaughter, or for a longer period
  2  4 in an emergency.  Any processor or limited partnership
  2  5 which owns, controls, or operates a feedlot on August
  2  6 15, 1975, shall have until July 1, 1985, to dispose of
  2  7 the property.
  2  8    2.  Except as provided in this subsection, a
  2  9 processor purchasing or soliciting livestock for
  2 10 slaughter in this state shall not discriminate in
  2 11 prices paid or offered to be paid to sellers of that
  2 12 livestock.  This subsection shall not apply to any of
  2 13 the following:
  2 14    a.  A person exempted from the license and
  2 15 financial responsibility provisions of chapter 172A
  2 16 pursuant to section 172A.6.
  2 17    b.  The sale and purchase of livestock if all of
  2 18 the following requirements are met:
  2 19    (1)  The price differential is based on one of the
  2 20 following:
  2 21    (a)  The quality of the livestock, if the processor
  2 22 purchases or solicits the livestock based upon a
  2 23 payment method specifying prices paid for criteria
  2 24 relating to carcass merit.
  2 25    (b)  Actual and quantifiable costs related to
  2 26 transporting and acquiring the livestock by the
  2 27 processor.
  2 28    (c)  An agreement for the delivery of livestock at
  2 29 a specified date or time.
  2 30    (2)  After making a differential payment to a
  2 31 seller, the processor publishes information relating
  2 32 to the differential pricing, including the payment
  2 33 method for carcass merit, transportation and
  2 34 acquisition pricing, and an offer to enter into an
  2 35 agreement for the delivery of livestock at a specified
  2 36 date or time according to the same terms and
  2 37 conditions offered to other sellers.  A processor
  2 38 shall provide all sellers with the same terms and
  2 39 conditions offered to a seller who receives a
  2 40 differential price.
  2 41    c.  The processor shall, at the beginning of each
  2 42 day in which livestock are purchased, post in a
  2 43 conspicuous place at the point of delivery, all prices
  2 44 for livestock to be paid that day.
  2 45    Sec. ___.  Section 9H.3, Code 1997, is amended to
  2 46 read as follows:
  2 47    9H.3  PENALTIES FOR PROHIBITED OPERATION –
  2 48 INJUNCTIVE RELIEF.
  2 49    1.  A processor violating section 9H.2 shall be
  2 50 assessed a civil penalty of not more than twenty-five
  3  1 thousand dollars.  A processor acting in violation of
  3  2 section 9H.2, subsection 2, commits a fraudulent
  3  3 practice as provided in chapter 714.  The attorney
  3  4 general or any person injured by a violation of the
  3  5 subsection may bring an action in district court to
  3  6 restrain a processor from violating the subsection.  A
  3  7 seller who receives a discriminatory price or who is
  3  8 offered only a discriminatory price for livestock
  3  9 based upon a violation of the subsection by a
  3 10 processor has a civil cause of action against the
  3 11 processor and, if successful, shall be awarded treble
  3 12 damages.
  3 13    2.  The courts of this state may prevent and
  3 14 restrain violations of this chapter through the
  3 15 issuance of an injunction.  The attorney general or a
  3 16 county attorney shall institute suits on behalf of the
  3 17 state to prevent and restrain violations of this
  3 18 chapter."
  3 19    #2.  Title page, line 1, by striking the words "by
  3 20 persons owning or leasing" and inserting the
  3 21 following:  "in".
  3 22    #3.  Title page, line 2, by inserting after the
  3 23 word "land" the following:  "and livestock".  
  3 24 
  3 25 
  3 26                               
  3 27 KOENIGS of Mitchell
  3 28 
  3 29 
  3 30                               
  3 31 WEIGEL of Chickasaw
  3 32 HF 706.306 77
  3 33 da/cf/28
     
Text: H01366                            Text: H01368
Text: H01300 - H01399                   Text: H Index
Bills and Amendments: General Index     Bill History: General Index
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